Is selling firewood a good business? Here is a guide on selling kindling wood.
Kindling, an easily combustible material, is small scrap wood that you can use to start a fire. When the weather turns cold, you will notice that people start looking for means to keep warm.
This is a great business opportunity if you have access to logs of wood for setting up fires.
Make Money Selling Kindling Wood
Selling kindling, as easy as it may seem, also has its challenges.
This includes getting inventory and cutting to a preferred size your consumers desire because not everyone can grab a chainsaw and start cutting down trees.
The firewood business can be very labor-intensive. However, access to excess firewood is a great business opportunity.
Take advantage of the fact that you can easily and quickly provide the firewood, fastened together for convenient handling, in the exact shape and size that customers and resellers want.
Sourcing Kindling to Sell
Do you hope to sell kindling for money?
If your answer is yes, this article will help your new business. First, you will need a very reliable and continuous source of firewood to avoid disappointing your customers.
There are so many companies that specialize in tree removal. Your best bet is to get at least two or more of them to be your faithful and constant suppliers.
If you, however, want to source the wood yourself, you will need the knowledge of proper tools and equipment necessary for cutting down the trees and a sound transport system.
You will also require axes, a bucksaw, a good gas-powered chainsaw, and a heavy-duty trailer for hauling it.
You will need to conduct deliberate research in your area to determine the types of wood in high demand, including the most preferred species by your prospective customers.
You may also impact your business by knowing the various wood species, as customers might sometimes be specific on the wood they prefer.
Setting Up Your Kindling Price
Sourcing your product might seem the most challenging task in this line of business. However, once that is done, setting up and bundling comes next, which is the determinant of pricing.
After bundling your product, you are required to prepare a rate sheet that details the prices of your commodities based on their shapes and sizes.
The rate sheet is prepared and handed to customers who demand to know the price tag of your various bundles of products.
More importantly, you should pay close attention to your customer demand.
This is because, before you put up your firewood for sale, you need to consider the purpose for which individual customers tend to patronize you as it may vary according to demands, either for fire pits or fireplaces.
This will help you determine the specific size and bundle to offer upon request.
Setting up your product prices depends on how and to whom you sell your firewood. That is, selling to individuals, retailers, parks and campgrounds, and or processing companies.
To appeal to patronage by local stores, campgrounds, and other customers, a moderate and considerable price tag is advised, as there are off-takers who tend to buy in bulk,
Also, keeping a good customer relationship is a sure bet to gaining their loyalty and patronage.
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Individuals
This category of customers is the easiest to acquire, though it is considered to have the lowest profit margin.
With a small delivery area, prices in this category range from $175 -$225 per chord or bundle.
Sell to your neighbors or immediate community, who usually buys in small quantity or just enough for a stipulated period.
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Parks and Camp Grounds
You can create a steady and easy business rapport, if you have nearby campgrounds and parks, basically by supplying your firewood bundles directly to them. However, you will have to keep a steady supply on demand, or the downside is they will take their business elsewhere.
Making a profit is almost guaranteed here as parks and campgrounds tend to pay generously to retain clients and keep their customers warm and happy.
They usually buy large quantities and routinely use them to make large campfires. So expect to get a large profit margin from this category of customers.
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Retailers
You will discover that this category of customers is the most reliable source of regular income and profit for your kindling business.
They also want to make profits, so they try their best to get your prices as low as possible. This ensures that they resell for a reasonable amount and achieve profit maximization. However, you should bear in mind that their doing s, will in no way pose a threat to your business income or profit margin.
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Processing Companies
A firewood processing company could be your great source of making money without needing access to supplies.
You will reckon some sellers may be interested in profit without necessarily investing in the tools, or equipment needed to process and bundle their firewood.
You will also agree that, just as it is with many businesses, the firewood business isn’t without its risks.
Some wood you will find out retains moisture when you cut them. Such wood will then need to be air-dried before it is said to be fit for sale.
This situation poses a threat of losing customers as it takes more time for the wood to be considered fit for sale. Note that where you store up your wood while it dries is very important.
A well-ventilated space away from moisture is mainly advised.
Termites and wood borers significantly reduce the volume of the wood you have collected. Therefore, you wouldn’t want to keep your managed wood outside for too long.
To keep away and safe from moisture and other damaging insects, you will agree that an interior area is highly suitable for storing your wood.
With this information, I believe you should find selling kindling easy and profitable.
